Overview
- Saint Augustine’s University, which filed for Chapter 11 on Monday in the Eastern District of North Carolina, says it will keep operating under court oversight and is drafting a reorganization plan.
- Court filings list $100 million to $500 million in assets and $50 million to $100 million in debts, including $14.4 million to the IRS, about $7 million to other federal agencies such as Education, $1.6 million to North Carolina’s revenue department, and $3.3 million to American Trust Company.
- The Board of Trustees said Chapter 11 offers a path to address the school’s finances and noted support from its primary lending partner, Self-Help Ventures Fund.
- Interim president Dr. Jennie Ward-Robinson resigned, and the Board named Dr. Verganis Peoples to serve as interim leader.
- Litigation over the university’s accreditation status ends May 15, and the school says some students may need to finish degrees at other accredited colleges, with teach-out agreements for those close to graduating.